Identifier
Created
Classification
Origin
05KUWAIT4727
2005-11-09 12:21:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Kuwait
Cable title:  

BLUE LANTERN: CASE 966701

Tags:  ETTC KOMC KUNC KU US 
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This record is a partial extract of the original cable. The full text of the original cable is not available.
UNCLAS SECTION 01 OF 02 KUWAIT 004727 

SIPDIS

SENSITIVE
SIPDIS

STATE FOR NEA/ARPI SWALKER, PM/DTCC FOR PDADE, LONDON FOR
LTSOU

E.O. 12958: N/A
TAGS: ETTC KOMC KUNC KU US
SUBJECT: BLUE LANTERN: CASE 966701

REF: STATE 191152

UNCLAS SECTION 01 OF 02 KUWAIT 004727

SIPDIS

SENSITIVE
SIPDIS

STATE FOR NEA/ARPI SWALKER, PM/DTCC FOR PDADE, LONDON FOR
LTSOU

E.O. 12958: N/A
TAGS: ETTC KOMC KUNC KU US
SUBJECT: BLUE LANTERN: CASE 966701

REF: STATE 191152


1. (U) Per reftel request, Econoff paid a visit to the
offices of "National Contracts Group" (NCG) to ascertain the
validity of the company and its stated role as a party to
pending license No. 966701. Econoff met with Mr. Omar A. A.
Almutawa, President of NCG and Mr. Shahid Ayaz, General
Manager of Global Zone Company (GZC),a subsidiary of NCG,
described in the company's handbook as "the Projects Division
of the National Contracts Group, one of the most dynamic
Defense Contracting Organizations in the State of Kuwait."

Company Background
--------------


2. (U) Based on information provided by Almutawa and Ayaz,
and later confirmed by Embassy's Foreign Commercial Service
(FCS) office and OMC-K's Director of Foreign Military Sales,
NCG is the local agent for Lockheed Martin and GZC provides
contract logistical support (CLS) to the U.S. Army LOGCAP III
(through Halliburton/KBR),including maintenance and armoring
installation for US military convoys operating in Kuwait and
Iraq. Embassy's FCS files identify GZC as a special projects
division of NCG, founded in 1999 and registered under
Almutawa's name. (Note: Almutawa invited Econoff to visit
the CLS facility and the company promotional booklet contains
emails of appreciation from KBR officials thanking GZC for
its maintenance and repair work.)


3. (U) GZC's company booklet describes NCG as a logistics
company "founded in 1991 as a Professional Services and
Logistics Organization specializing in Defense Logistics,
Systems Engineering, Public Sector Projects and Support
Services. Its impressive projects portfolio includes a very
significant portion of automotive facilities, infrastructure,
equipment and technical workforce provisioning services."


4. (U) Ayaz confirmed that NCG has another subsidiary
company, National Contracting Group Vehicle Inspections
(NCGVI),that was recently awarded the "Motor Vehicle
Periodic Inspection" contract by the Kuwaiti Traffic
Department to inspect 1 million Kuwaiti vehicles per year.
(Note: NCGVI appears to be the "National Contracts Group for
Autmobile Inspections" company cited by DoD in reftel). Ayaz

said that he also serves as Chief Operating Officer of NCGVI
and disclosed that the company is a junior partner in a
consortium that includes KIPCO, the large Kuwaiti investment
holding company headed by the Kuwaiti Prime Minister's son,
Sheikh Hamad Sabah Al-Ahmad Al-Sabah.

Not Aware of License
--------------


5. (U) Neither Almutawa nor Ayaz claimed to have any
knowledge of the pending license, including marketing
requirements or NCG's role as a party to the license cited in
reftel. Ayaz said that two years ago, NCG/GZC had
participated in a Textron Bell helicopter bid but that the
contract was ultimately awarded to the French company that
manufactures Dolphin helicopters. Nonetheless, both Almutawa
and Ayaz expressed interest in establishing a private
helicopter service for potential investors seeking to do
business in Basra, Iraq.

Office Description
--------------


6. (U) NCG offices are located at the address cited in
reftel on the second floor of a modest shopping mall in the
Hawalli district of Kuwait City. Econoff, accompanied by an
Embassy LES (Locally Employed Staff),arrived at the offices
shortly after noon prayers and found an empty office suite.
Emboffs were greeted shortly after arrival by Ayaz and
escorted into Almutawa's office.

Bio Note
--------------


7. (SBU) Almutawa is Kuwaiti and appears to be in his late
40s/early 50s. His grandfather, Ali Abdul Wahab, established
the family business in the 1950s as a trading company that
continues to serve as the local agent for Volvo, Kia and
other foreign companies. Almutawa speaks excellent English
and recently attended the farewell dinner at the Ambassador's
residence in honor of the departing FCS Counselor. Ayaz is a
Pakistani national from Peshawar. He also speaks excellent
English and claims extensive defense logistical experience in
the Gulf, including Saudi Arabia. Almutawa and Ayaz appeared
to get along quite well and seemed knowledgeable about Bell
helicopters and defense logistical contracting. Almutawa's
conference table had a Bell helicopter calendar and there
were models of tanks and other military vehicles displayed on
shelves throughout the office. Econoff noticed that both
their business cards identified the two officials with GZC
rather than NCG, despite the fact that the office signs
outside read "National Contracts Group."

Embassy Recommendation
--------------

8. (SBU) While both NCG and GCZ appear to be functioning
businesses in their stated fields of operation, Embassy is
inclined to recommend that NCG not/not be permitted to
participate in this license application at this time based on
Almutawa and Ayaz's confirmed lack of awareness about the
license and NCG's proposed marketing role.

*********************************************
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*********************************************
LEBARON